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Illinois’ first incentive procurement for utility-scale batteries secured agreements for 600 megawatts, below the initial target and far short of the amount sought in ComEd territory. The awards would substantially increase the state’s current 102 MW of storage, but developers say uncertainty over PJM grid connections may limit how many projects can be built on time.
Illinois’ first incentive procurement for large-scale battery storage secured agreements for 600 megawatts, but fell short of the initial target and delivered only one planned project in northern Illinois’ ComEd territory. The results are an early test of a state program intended to help meet a new requirement for 3 gigawatts of grid batteries by the end of 2030, as electricity demand rises and Illinois pursues its clean-energy goals.
The Illinois Power Agency, which procures electricity on behalf of the state’s large utilities, held an auction-style proceeding in August to award incentives to developers promising to build battery projects. The statewide result was 600 MW of selected storage, less than two-thirds of the target set for this initial procurement, according to the source report.
The shortfall was concentrated in ComEd territory, which covers northern Illinois. The state sought 588 MW there, but the process selected one company’s plan for an 80-MW battery. In Ameren Illinois territory, which spans much of the rest of the state, three developers were selected to provide 520 MW.
Illinois has just 102 MW of existing storage, according to energy data firm Cleanview. If the selected projects are built, they would raise that total substantially. The awards are commitments to develop projects, however; the procurement result alone does not establish that construction is complete or that the batteries will be operating by a particular date.
Why the ComEd Shortfall Matters
Batteries can store electricity when supply is plentiful and discharge it when demand rises or renewable generation falls. That flexibility is relevant as Illinois adds renewable energy and faces growing electricity demand, including from data center development, which the source report identifies as a reason advocates see storage as increasingly necessary.
The procurement shows both the potential and limits of incentives. The selected 600 MW would be a large addition against Illinois’ current 102 MW, but the gap in ComEd territory leaves a major part of the state’s target unmet in this round. The distinction matters: a statewide award total can look substantial while leaving a specific utility area with far fewer planned projects than sought.
Advocates described the outcome as encouraging overall, while warning that more projects must be attracted and connected. The program’s success will depend not only on the incentive awards but also on whether developers can secure grid connections and complete projects within the state’s timeline.
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Illinois’ 2030 Storage Requirement
Illinois passed a law last fall requiring 3 GW of battery storage on the grid by the end of 2030. The state has expanded renewable energy over the past decade as it works toward a mandate for 100% clean energy by 2050, but battery deployment has lagged. The August procurement was an early step toward the new storage requirement, not the final round.
Other states provide examples of both the scale and pace of deployment. The source report says Texas has more than 18 GW of installed storage and California more than 16 GW. Indiana has 587 MW, more than five times Illinois’ current capacity. Nationwide, installed storage rose from 4.7 GW in 2022 to more than 50 GW, according to federal data cited in the report; that growth took time to build.
Illinois is also operating within the PJM Interconnection, a regional grid covering parts of 13 states. The report identifies long waits to connect projects to PJM as a barrier for battery developers. New York, which has a separate 3-GW-by-2030 goal, secured promises for 950 MW in September through the same type of incentive mechanism, according to the report.
“However because of the interconnection queue at PJM there’s a lot of uncertainty”
— Brett Sproul, who leads Illinois regulatory work for Advanced Energy United
Projects Face Grid-Connection Risks
The selected capacity does not confirm how many projects will reach construction, connect to the grid, or begin operating by the state’s deadline. The source report does not provide project-by-project construction schedules or final connection approvals. Those details matter because a project that cannot connect in time would not help Illinois meet its 2030 requirement.
Sproul said several developers could build batteries in Illinois by 2030, but described PJM’s interconnection queue as a source of uncertainty. He said that uncertainty led some developers to hesitate. The available reporting does not quantify how many proposals were affected or establish how quickly PJM connection delays will be resolved.
The ComEd result also leaves open whether a revised procurement can attract more developers in northern Illinois. The reasons for the limited response are not fully established in the supplied reporting, so grid-connection concerns should not be treated as the sole explanation for the shortfall.
Feedback Ahead of the Next Auction
The Illinois Power Agency is collecting feedback from developers through October 28, with the stated goal of improving the next procurement process. That feedback may help the agency identify what changes could encourage more bids, including in ComEd territory. The source report does not give a date for the next procurement or specify which program rules will change.
The next milestones are whether Illinois revises its approach, whether developers submit additional viable projects, and whether those projects can obtain grid connections on a schedule consistent with the 2030 law. Until those steps are clearer, the 600 MW result is best understood as a significant initial award total alongside a clear regional gap and unresolved delivery risks.
Key Questions
How much battery storage did Illinois secure in this procurement?
The Illinois Power Agency selected projects totaling 600 MW in its August procurement. The source report says that was less than two-thirds of the target for the initial round.
Why did ComEd territory receive so little storage?
The state sought 588 MW in ComEd territory but selected one planned 80-MW project. The source reporting does not establish a single cause. A battery industry representative pointed to uncertainty over PJM grid connections as one factor that made developers hesitate.
How much storage does Illinois have now?
Illinois currently has 102 MW of energy storage, according to Cleanview, as cited in the source report. That is installed capacity, separate from the projects selected in the incentive procurement.
What is Illinois’ battery-storage target?
A law passed last fall requires 3 GW of batteries on the state’s grid by the end of 2030. The August procurement is one step toward that requirement.
What happens next?
The Illinois Power Agency is accepting developer feedback through October 28 to inform improvements to the next procurement. Its timing and any rule changes have not been specified in the source material.
Source: rss
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